Question

Two business owners are discussing the idea of merging their bottled water companies to monopolize the industry in their state. What government intervention in a market economy would prevent this potential merger?(1 point)
Responses

Market regulation
Market regulation

Monopsony formation
Monopsony formation

Administrative ease
Administrative ease

Property protection

Answer 1

Market regulation — antitrust/competition laws and merger review prevent firms from merging to form monopolies.